Leading banks to work with UN to promote climate transparency

A total of 11 leading banks representing more than $7 trillion (£5.4tn) in capital are to work with the UN to promote climate transparency in financial markets.

The group, which includes Barclays, Citi, Royal Bank of Canada, Santander and Standard Charter, will adopt the recommendations of the Mark Carney-Michael Bloomberg Task Force on Climate-Related Financial Disclosures (TCFD).

The voluntary guidelines have been developed for use by companies, investors, lenders and insurers, with the aim of boosting climate-friendly investments.

The banks will work with the UN Environment Finance Initiative (UNEP FI) to develop analytical tools and indicators to strengthen their assessment and disclosure of climate-related risks and opportunities.

Erik Solheim, Head of UN Environment said: “The message from financial heavyweights is clear – climate change poses a real and serious threat to our economy. At the same time, there are enormous business opportunities in taking climate action.

“Transparency on how financial institutions mitigate the risks and seize the opportunities of a two degrees pathway is crucial to move international markets towards actively supporting a low carbon and climate resilient future.”